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Pacific Healthcare Essay

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PACIFIC HEALTHCARE CASE STUDY 1

Pacific Healthcare

American Public University System

Professor Wade Keith

Pacific Healthcare:

I. Major Facts

Mr. Howell, the director of radiology for Pacific Healthcare has passed away. He was in charge of the supplier section of X ray film. Mr. Howell would not authorize the use of any X ray film other than Kodak. Barney Rubble is the corporate director of supply management for Pacific. He is in charge of buying supplies for all of the Pacific Healthcare Subsidiaries. Mr. Rubble will be Mr. Howells replacement. He now has the opportunity to authorize the use of any X ray film other than Kodak. An investigation was complete in
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That is a huge saving for Pacific Healthcare. Pacific Healthcare can save money as well as keeping the same high quality as Kodak.

IV. Choice and Rationale

After reviewing all of the possible choices I chose to go with choice A. I chose A, because it saves Pacific Healthcare a lot of money as discussed in choice C. By choosing DuPont the company would save $450 a day compared to Kodak. That is $3,150 per week of savings and $12,600 a month by switching to DuPont. Also in choosing Agfa which is the same quality as Kodak, Pacific Healthcare would save $330. Keep in mind that Agfa and DuPont have the same quality as Kodak. Why choose Agfa over DuPont if they have the same quality of X ray film? That is why I chose DuPont. It is a smart solution, because it saves Pacific Healthcare money while also keeping the same quality as Kodak. Moving on two the other choices Mr. Rubble has. In the beginning I mentioned that there were four competitors that offered X ray films at a much lower rate than Kodak. The competitors were Agfa, DuPont, Fugi, and 3M. I have discussed Agfa and DuPont. The reason for not adding Fugi and 3M to my possible solutions is because Pacific Health care wanted to keep the same high quality in X ray film. Even though Fugi and 3M met minimum requirement they were thought of as having lower quality. Pacific Healthcare was looking for obtaining the highest quality with the best service at
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